Freehold vs Leasehold: The Condo Resale Return Gap (Outside Central Region (OCR))

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TL;DR
In Outside Central Region (OCR), leasehold condos posted a 6.1% median annualised resale return against 5.3% for freehold (incl. 999-yr) — a 0.8-point gap. Cheaper leasehold entry prices produced the higher percentage gain here.
💡 The verdict

In Outside Central Region (OCR), leasehold condos posted a 6.1% median annualised resale return against 5.3% for freehold (incl. 999-yr) — a 0.8-point gap. Cheaper leasehold entry prices produced the higher percentage gain here.

6.1%
Best band: Leasehold
5.3%
Weakest band: Freehold (incl. 999-yr)
+0.8 pts
Return spread
10,080
Matched resales

This study isolates one variable — tenure — and measures whether it earned a resale-return premium across Outside Central Region (OCR) condos, using matched buy→sell pairs from URA caveat data (as of July 2026). We hold nothing else constant beyond the tenure split, so read the pattern as a directional signal, not a controlled experiment. The full band breakdown is below.

Freehold (incl. 999-yr)
5.3%
Leasehold
6.1%

Return by tenure — Outside Central Region (OCR)

Median annualised return, profitable-resale share, median holding period and matched-pair count for each tenure.

TenureMedian return/yrProfitableMedian holdPairs
Freehold (incl. 999-yr)5.3%86%1.4 yrs1,753
Leasehold6.1%86%1.1 yrs8,270
Key Takeaways
  • The Leasehold band led with a 6.1% median annualised return in Outside Central Region (OCR).
  • The gap to the weakest band (Freehold (incl. 999-yr)) was 0.8 percentage points — small enough that other factors likely matter more.
  • Returns are unlevered and pre-cost; a mortgage would amplify both the winners and the laggards.

Frequently Asked Questions

Do freehold condos out-appreciate leasehold ones?

In Outside Central Region (OCR), the Leasehold band led with the strongest median resale return, 0.8 percentage points ahead of the weakest Freehold (incl. 999-yr) band. The full table above shows every band with its profitable-resale share and holding period.

Is this a controlled comparison?

No. The study splits matched resale pairs by a single attribute but does not hold location, age or condition constant. Treat the gap as a directional signal about how the attribute has behaved historically, not as an isolated causal premium.

Are these figures net of costs?

No — they are raw-price CAGRs from URA caveats, before stamp duty, mortgage interest, agent fees and renovation. They are best used to compare bands against each other, not as a take-home return.

Methodology & Sources

Numbers in this article reflect as of July 2026 and update on an irregular schedule.

Transaction data sourced from URA.

  • Matched buy→sell pairs are inferred from URA resale caveats via a (floor band, area, bedroom) proxy; annualised return is the CAGR between purchase and resale.
  • Only the tenure split is controlled; other differences between projects are not held constant, so treat the gap as directional.
  • Returns are raw-price estimates before stamp duty, financing and renovation, and are historical, not a forecast.

Outlier-resistant medians anchor every PSF figure shown above. Volume counts are exact transaction tallies, not estimates.